UPSC Prelims 2018 · Question 31 of 99

UPSC Prelims 2018 question on Money Bill Features

Regarding Money Bill, which of the following statements is not correct?

  1. A bill shall be deemed to be a Money Bill if it contains only provisions relating to imposition, abolition, remission, alteration or regulation of any tax.
  2. A Money Bill has provisions for the custody of the Consolidated Fund of India or the Contingency Fund of India.
  3. A Money Bill is concerned with the appropriation of moneys out of the Contingency Fund of India.
  4. A Money Bill deals with the regulation of borrowing of money or giving of any guarantee by the Government of India.
Show answer

Answer: C. A Money Bill is concerned with the appropriation of moneys out of the Contingency Fund of India.

Analysis

The question asks which statement is NOT correct, and that is option (c).

Article 110 defines a money bill as one containing only provisions dealing with a listed set of matters. Among them are the imposition, abolition, remission, alteration or regulation of any tax; the regulation of borrowing or the giving of any guarantee by the Government of India; the custody of the Consolidated Fund of India or the Contingency Fund of India and payments into or withdrawals from either; and the appropriation of money out of the Consolidated Fund of India.

Statement by statement

Option (c) is INCORRECT because appropriation is tied to the Consolidated Fund of India, not the Contingency Fund. Options (a), (b) and (d) each reproduce a listed matter accurately, which is why they are correct and therefore not the answer.

Source

Indian Polity by M. Laxmikanth, chapter on Parliament.

How to crack it

Note that custody covers both funds while appropriation covers only the Consolidated Fund, and option (b) is placed there to make you think the two funds are interchangeable throughout the Article. Read the Article 110 list once with attention to which fund each clause names. Also read the stem twice: this question asks for the statement that is not correct, and reversing that is the commonest way aspirants lose an otherwise easy mark.

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